MA Crossovers. Yay or nae?

[tomorton]

Ive been thinking about adding a 10 and 30 ma crossover strategy to my trading arsenal? Anyone have experience trading crossovers? If so what type of results did you get?

MA cross-overs are just an entry signal. And not a very good one for reasons outlined above.

But on a more general level, they are classed as a tactic. You cannot start with one tactic and develop it into a successful strategy.

Think what you are trying to do. Start at the most general level - do you want to be long because price has been rising or do you want to be long because price has not been rising? When you know where you want to be, you will have eliminated the tactics that will not get you there.

 

[Wheezooo]

From a bystander perspective. Every time I saw them crossover, it seemed like price was already miles away from the crossover. As though you missed the move or had too much downside before it would cross back over and be useful as a tool to signal you out. Maybe it had to do with my always playing with high vol products. Found it confusing.

 

[test_user]

Ive been thinking about adding a 10 and 30 ma crossover strategy to my trading arsenal? Anyone have experience trading crossovers? If so what type of results did you get?

This question is meaningless without the context. But if you want something useful, you can easily find the answer to your question by backtesting your system with and without the crossover and comparing the results.

 

[wrbtrader]

Ive been thinking about adding a 10 and 30 ma crossover strategy to my trading arsenal? Anyone have experience trading crossovers? If so what type of results did you get?

You can test them yourself...its one those indicators that's easy to program. I wouldn't be surprise that your test results reveal them to be a better directional analysis than an entry trade signal.

Thus, in my opinion you may have more success with them if you use them for directional purposes to support a different trade signal.

I wouldn't bother being dependent upon the results from others that are anonymous and most likely using it different from each other. Thus, you gotta do the work yourself.

wrbtrader

 

[SimpleMeLike]

Ive been thinking about adding a 10 and 30 ma crossover strategy to my trading arsenal? Anyone have experience trading crossovers? If so what type of results did you get?

Hello BearTrades,

I have used EMAs for extra confirmation.

I suggest you back test for 100 trades and see what happens.

 

[SimpleMeLike]

You can test them yourself...its one those indicators that's easy to program. I wouldn't be surprise that your test results reveal them to be a better directional analysis than an entry trade signal.

Thus, in my opinion you may have more success with them if you use them for directional purposes to support a different trade signal.

I wouldn't bother being dependent upon the results from others that are anonymous and most likely using it different from each other. Thus, you gotta do the work yourself.

wrbtrader

wrbtrader,

You provided a good comment here. Well written. I have learned that indicators are not bad, if they are logical used to help me as extra confirmation of price direction for the timeframe I trade.

 

[murray t turtle]

Sorry I’m having a tough time reading the pictures. What MA crossover are you using? And do you mean you wait for price to be above the 30 and 60 ema before you enter?

%%
Good question; depends on if you want to be early or be late. I prefer late exits, in stuff like QQQ; but WSJ 65 dma is too little +to late- but 65dma could work with a squirrel like DOW.

REALLY , BearTrender,,to make money, even with a good ma like 200 day moving average ;
use discretion................................................................................................WHY?? because a 200 period ma is much, MUCH different in a UP trending/ bull market+ a polar bear market.You maybe noticed that-but i'm not a mind reader LOL
NoT to confuse anybody; but some charts switch a 200 day moving average,automatic , into 200 months when we switch to monthy candlecharts

 

[murray t turtle]

This question is meaningless without the context. But if you want something useful, you can easily find the answer to your question by backtesting your system with and without the crossover and comparing the results.

%%
IBD/Inevstor's Weekly uses mostly ;
a 50 dma + 200 day moving average. WSJ=65dma [too little /too late] + 200 day moving average. I'm looking a 10 year candle chart on a tech ETF; put in a double bottom on/@ 50 month moving average area- but that seldom happens..................................................................................................................

 

[ZBZB]

What is it? Im cautious about clicking random links or websites on the internet.

The adventure of trading may be too much for you.

 

[murray t turtle]

What is it? Im cautious about clicking random links or websites on the internet.

%% WHY ??
Just because of spam ,spyware, junk mail ,malware, time wasters??,?????? ,??,